HC Deb 09 November 1979 vol 973 cc377-8W
Mr Michael Brown

asked the Secretary of State for Social Services when he plans to announce the composition and terms of the proposed review of the national insurance position of self-employed people.

Mrs. Chalker

My right hon. Friend and I are at present considering how this review should be carried out and hope to make an announcement before long.

Mr. Michael Brown

asked the Secretary of State for Social Services how his Department selects self-employed people for possible reclassification as employees.

Mrs. Chalker

In the Social Security Act 1975 a "self-employed earner" means a person who is gainfully employed, but not under a contract of service or apprenticeship—whether written or oral and whether expressed or implied—nor in an office—including elective office—without emoluments chargeable to income tax under schedule E. Each case depends upon its individual facts on the law applied to them.

Cases which are investigated by the Department, and in which, as a result, persons might be recategorised as employed earners, originate from a number of sources, such as inquiries from members of the public as to their correct status for national insurance purposes, claims to benefit, disputes concerning the liability to pay contributions of a particular class, applications for national insurance cards, and routine surveys of national insurance and pay records held on business premises.

Mr. Michael Brown

asked the Secretary of State for Social Services whether his Department has ever reclassified an employee as a self-employed person.

Mrs. Chalker

Detailed information is not available, but cases do occur in which persons who claim to be employed earners are found, on investigation, not to be employed under a contract of service, nor in an office with emoluments chargeable to income tax under schedule E.

Mr. Michael Brown

asked the Secretary of State for Social Services how many self-employed people have been reclassified as employees by his Department in each of the past five years for which figures are available.

Mrs. Chalker

Detailed information of the type asked for is not available and, to the extent that it could be obtained, this could only be achieved at disproportionate cost.

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